Post Tagged with: "United States"
Remembering Eisenhower’s Farewell Address 50 Years Later
While today is a national holiday in the United States, in remembrance of Dr. Martin Luther King Jr., it is also the 50th anniversary of former US President Dwight D. Eisenhower’s famous farewell presidential address. Ike’s speech warned about the undemocratic tendencies that the nexus of big government and corporate power creates, specifically addressing the
More on The Fall of the New Monetary Consensus
By Edward Harrison Randall Wray wrote a paper on "The Fall of the New Monetary Consensus" which we posted at Credit Writedowns last week. Randy took on the theoretical underpinnings that guided policy makers through the most recent crisis. He argues that the old IS/LM framework all of us economics students learned, but which has
Recent thoughts on jobs and economy via BNN
I spoke to Paul Waldie on BNN this past Friday about the US and Canadian jobs reports. The BBH note that morning on the risk of “buy the rumor sell the fact” ahead of the jobs report was on the money. After the stellar ADP data on Wednesday, the whisper number for US non-farm payrolls
Too Big To Regulate
Systemically Dangerous Institutions – the U.S., Iceland, and Ireland by William K. Black This column was prompted by Thomas Hoenig’s December 1, 2010 op ed in the New York Times (“Too Big to Succeed”) warning that we must end banks that are “too big to fail.” Mr. Hoenig is the President of the Federal Reserve
On the Ability of Trees to Grow to the Sky
Most of the headlines you’ll see related to the Federal Reserve’s Z.1 Flow of Funds report are focused on the change in household net worth. In the 3rd quarter 2010 report, released yesterday, the change was a positive one: household net worth rose $1.2 trillion, driven primarily by $1.3 trillion gains in equities and mutual
South Korea: On Free-Trade Agreement And Won
by Marc Chandler At the end of last week, the US and Korea appeared to reach the basis of agreement that will also resuscitate the moribund free-trade effort. In essence it appears that slowing down the liberalization in the auto sector and pork was what broke the log jam. The US tariff on Korean auto
Some Thoughts On The IMF And Europe
The IMF total contribution to the European rescue fund is not a solid one. That is, the IMF responds to country-by-country requests for aid, not to regions. Thus, the IMF really does not have EUR250 bln set aside just for Europe. politically speaking, can the US, Germany, and other countries justify giving more money to the IMF in the current environment? It would be very difficult to push through, in our view
Putin says dollar hegemony ‘dangerous’ and calls for Russian-EU economic trade zone
The under-current from Putin’s remarks has much to do with anti-US Dollar sentiment because he said specifically that having the U.S. dollar as the sole reserve currency “is definitely something negative.” Putin is serious about ditching the dollar. But will this gain any traction
Ireland and the US: Depth of Corporate Ties May Be Surprising
Market participants are rightfully focused on the contagion of Ireland within Europe. However, the depth of US corporate ties to Ireland may surprise many investors. The value-added of majority owned affiliates of US companies account for more than a fifth of Ireland’s GDP. This is the greatest share that American affiliates account for in any
British Households Facing Price Squeeze
What accounts for the difference in inflation paths in the UK and the US? In America, we have disinflation, causing the Federal Reserve to conduct a second round of quantitative easing. But in the UK, we have accelerating inflation. Policymakers will say they don’t want this because of the squeeze on households. But, clearly it
China’s Dagong Credit Agency Downgrades U.S. to A+
The reason: QE. The downgrade for the U.S. is to A+ from AA, with a negative outlook because of quantitative easing, according to Xinhua. According to the ratings agency, quantitative easing will further depreciate the U.S. dollar and is therefore not in the interests of America’s creditors. (document now embedded below) Dagong Credit Ratings Agency
Chart of the Day: The World’s Top 50 Banks (bubble chart version)
I have written a few posts showing you the ranking for the big banks globally, with a special emphasis on Europe because of systemic risk. But here’s a great bubble chart that gives you a visual on the relative size of the big banks globally. (Hat tip Barry Ritholtz). Of the large countries on this